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Dark Triad’ and Its Potential ‘Light Triad’ Realization in ‘Green Entrepreneurship’

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Dark Triad’ and Its Potential ‘Light Triad’ Realization in ‘Green Entrepreneurship’ Viewpoint Dark Entrepreneurship, the ‘Dark Triad’ and Its Potential ‘Light Triad’ Realization in ‘Green Entrepreneurship’ Philip Cooke Mohn Center for Innovation & Regional Development, Western Norway University of Applied Sciences, N-5020 Bergen, Norway; CookePN@cardiff.ac.uk Received: 27 April 2020; Accepted: 10 September 2020; Published: 24 September 2020 Abstract: This contribution seeks to achieve three main objectives. First it draws on a substantial, but often overlooked literature on wide-scale international decline in entrepreneurship as recorded in the ‘business dynamics’ literature. This has serious implications for academic study of entrepreneurship which must re-direct its focus to problems of entrepreneurial unattractiveness dating from at least the 1980s. More important, public policy makers and political ideologists need further to be apprised of the erroneous nature of many of their beliefs and further change the subsidy regimes they bestow on often unproductive entrepreneurship. Second, the contribution seeks one part of the explanation of the declining attractiveness of entrepreneurship in the psychology of the ‘dark triad’ of negative personality traits that has been connected to the literature on ‘dark entrepreneurship’ as a possible and partial, but important reason for the growing unattractiveness of entrepreneurship. The contribution devotes attention to the ‘Mindfulness’ movement in considering the detoxification of ‘dark entrepreneurship’. Finally, in what may be an original response to this analysis, the contribution draws attention to recent work on a putative ‘light triad’ of personality traits and applies it, possibly for the first time, to secondarily researched accounts of ‘green entrepreneurship’. The conclusion is that there may be a future for green entrepreneurship as a means for recovery in the current status of more traditional ‘business dynamics’. Keywords: business dynamics; entrepreneurial decline; dark triad; dark entrepreneurship; mindfulness; light triad; green entrepreneurship 1. Introduction In contrast to a growing number of academic publications related to entrepreneurship dimensions, most government policies have begun to realize an important truth. For decades they have been showering startups and other sub-entrepreneurial firms (under ten employees) with aids, grants and generous tax reliefs. Recently, in some jurisdictions, the latest being the UK, some of this largesse has been significantly cut back [1–5]. The reason is the dawning of findings from heterodox ‘business dynamics’ research that there is much recent evidence that startups represent poor value for public money. Their survival rates are declining as is the general entrepreneurship profile—also during the past two decades or so. Regarding the experience of young startups in the UK, a recent study [6] shows the following: “ ::: that most who try self-employment in the UK fail swiftly while very few go on to employ ten people (the definition of ‘entrepreneur’). Sixty per cent realized less than £10,000 in taxable income. Accordingly, 20% of businesses established by ‘sole traders’ (defined as too small to pay VAT) close within a year and 60% close within five years ::: ”[6]. Subsequently, in early 2020 the UK government reduced the entrepreneurship tax relief by 90% in recognition of its lack of incentive effect. Urban Sci. 2020, 4, 45; doi:10.3390/urbansci4040045 www.mdpi.com/journal/urbansci Urban Sci. 2020, 4, 45 2 of 17 Since Covid-19, ‘lockdowns’ have occurred worldwide, ‘entrepreneurship’ has been severely reduced in number of enterprises (small, medium and larger) and vulnerability to massively reduced demand from them as suppliers to intermediary and final customers has arisen. Little thorough research has been conducted on the ‘chilling’ effects of crises on entrepreneurship and that which has of late been published is both incongruously optimistic and narrowly entrepreneur-centric [7,8]. Fleetingly, Bishop [7] is one of the few academics to discover that once closed down some entrepreneurs sought belatedly to learn ‘strategic planning’ as also found in an industry-led productivity leadership group survey of 500 small firms of which 25% had been closed by Covid-19 [9]. However, far more common was a ‘pincer’ movement of small firm closures and a simultaneous collapse in startups described by the Enterprise Research Centre [10] as a ‘ ::: surge in limited companies going bust being mirrored by a drop in firms setting up’. Thus, in the UK some 62,000 limited companies folded from the start of March to mid-April 2020 (UK Covid-19 peak) while a similar decline occurred in the registration of new ventures. The pincers caught a 73% increase in closures compared to a year previously and a concomitant 23% decline in new registrations over the same period [10]. It has also become clear from close reading of daily financial press reports that a great deal of fraudulent practice by entrepreneurs was disclosed in the first six months of 2020. For example, Wirecard (accountancy malpractice and money laundering), Boohoo (modern slavery), Quiz, (auditing malpractice and modern slavery), Google, Facebook, (exploitative, exclusionary monopoly practices), NMC Health, (accounting and fraudulent practice), Spire Healthcare, (illegal fee fixing), Lendy, (fraudulent misappropriation of funds), Indivior, (misleading opioid safety information), Mercedes-Benz, (emissions test ‘defeat devices’) faced allegations, indictments or convictions in the London Law Courts during the May–July ‘lockdown’ period [11–13]. Clearly, as will be shown, entrepreneurship has declined since the 1980s as quoted data below testify. Further, the Covid-19 pandemic and the preceding global crises highlighted in Doern et al. [8] have recently caused ‘dark’ entrepreneurship to come to the fore in the legal and financial press [14–16]. Accordingly, to present the structure of the argument it is sequenced according to the following logical steps. First, perhaps to the chagrin of many unwitting apologists for a perspective on entrepreneurs and ‘entrepreneurship’ that wavers between hero-worship and deliverers of salvation, the first section reports a frequently overlooked body of research that showed—well before the Covid-19 episode—that entrepreneurship was in possibly terminal decline. A second sub-element of the further overlooked explanation for this decline derived from observations by occupational psychologists, regarding ‘dark triad’ personalities, in particular that a variety of ‘dark entrepreneurship’ personality traits should be examined as a complement to more usual ‘institutional’ hypotheses for it. Thus, the observed reputation for fraudulence, unfair competition and cheating often associated with entrepreneurial behavioral traits had also made it unattractive to newcomers. Third, the paper explores ‘dark triad’ analysis further by analyzing its three main psychological components of narcissism, Machiavellianism and psychopathy and their manifestations in entrepreneurial firm practices of different sizes, for example the evolution of the Disney company from startup to corporate scale. Fourth, unhappy that all entrepreneurship should be tarred with the ‘dark entrepreneurship’ brush, the article identifies a weaker, but existent ‘light triad’ of personality traits that offer a more optimistic psychological profile. Fifth, and finally, the contribution seeks exemplars of more attractive business practices, as found in two leading apparel and footwear firms that score highly as models of good practice in benign management as ‘green entrepreneurship’. To extend the exemplification in a different, more complex industry, which is the world’s leading manufacturer of electric vehicles, an account based on in-depth documentary research is provided. Each of these exemplars practices ‘light triad’ management to a greater or lesser extent showing that the imagery of ‘green entrepreneurship’ (despite certain identified flaws) has potential to revive the reputation and performance of entrepreneurship more generally. For the purpose of this contribution, the argument has considered elements of ‘sole trader’, ‘startup’ and ‘entrepreneurship’—both smaller (under ten employees) and larger (as in corporate ‘intrapreneurship’) where these shed interesting light on the ‘related variety’ of the phenomenon. Urban Sci. 2020, 4, 45 3 of 17 Why this variety? Because as we shall see in the following sub-reviews and empirical narratives, the causes of decline that lie in the truth of a widely believed myth are scientifically interesting because they reveal important processes of evolutionary change in mass social cognition, agency and practice. Why did slavery once prevail, but again revive in the twenty-first century? Why does diversity thrive in media representations of multiracialism, but racism persist in everyday working and community life? Why did smoking decline yet also persist among some? How did sexism decline in the workplace, but male violence towards women thrive domestically? Of course, such contradictions can only be raised, but not resolved in one article. However, to the extent there may be deeper structures that advance ‘pattern recognition’ for change and resistance across social science fields, some added value may accrue. While the definition of ‘entrepreneurship’ explicitly includes startup efforts from an existing business that may be a new branch or subsidiary, here we mostly focus mainly on startups as autonomous or independent businesses. This may seem somewhat contradictory by
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